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Amazon (NASDAQ:AMZN) Moves Into The Wearables Market

By HEFFX on August 28, 2020

$AMZN #Amazon #OnlineShopping #USA #Nasdaq #Stocks #Trading

Amazon
Ticker: NASDAQ:AMZN
Price: $3400.00

Amazon News

Amazon is entering the wearables market in a big way.

The company on Thursday introduced a wristband for health and fitness tracking called Halo, alongside a subscription service and smartphone app.

The space is currently dominated by the Apple Watch and devices from Fitbit, which is awaiting regulatory approval for an acquisition by Alphabet’s Google. Amazon’s Halo product builds on these older fitness tracking devices with features that have never been seen in a mainstream wearable device, including one that tracks a user’s emotional state by listening to the tone of their voice, and another that provides a three-dimensional rendering of their body with an estimated body fat percentage. 

It’s a departure for Amazon’s hardware business, which has previously focused on in-home devices, such as the Echo smart speakers and the Fire TV streaming video devices. Amazon showed off some wearable devices at its annual hardware event last fall, including wireless headphones and a set of glasses with built-in access to the Alexa voice assistant. But Halo is its first real shot at capturing a piece the fast-growing wearables market, which Gartner last year estimated would top $50 billion in 2020. 

Business Summary

Amazon.com, Inc. offers a range of products and services through its Websites.

The Company’s products include merchandise and content that it purchases for resale from vendors and those offered by third-party sellers. It also manufactures and sells electronic devices.

It operates through three segments: North America, International and Amazon Web Services (AWS). Its AWS products include analytics, Amazon Athena, Amazon CloudSearch, Amazon EMR, Amazon Elasticsearch Service, Amazon Kinesis, Amazon Managed Streaming for Apache Kafka, Amazon Redshift, Amazon QuickSight, AWS Data Pipeline, AWS Glue and AWS Lake Formation.

AWS solutions include machine learning, analytics and data lakes, Internet of Things, serverless computing, containers, enterprise applications, and storage. In addition, the Company provides services, such as advertising.

It also offers Amazon Prime, a membership program that includes free shipping, access to streaming of various movies and television (TV) episodes.

Price Performance

Relative Valuation

Technical Indicators

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

The projected upper bound is: 3,621.02.

The projected lower bound is: 3,209.34.

The projected closing price is: 3,415.18.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 24 white candles and 26 black candles for a net of 2 black candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 82.4633. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 4 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 65.94. This is not a topping or bottoming area. However, the RSI just crossed below 70 from a topping formation. This is a bearish sign. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 0 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 125.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 14 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 6 period(s) ago.

Rex Takasugi – TD Profile

AMAZON COM closed down -41.850 at 3,400.000. Volume was 100% below average (consolidating) and Bollinger Bands were 4% narrower than normal.

Open       High       Low        Close      Volume
3,450.050  3,453.000  3,378.000  3,400.000  1,313
Technical Outlook
Short Term:        Overbought
Intermediate Term: Bullish
Long Term:         Bullish
Moving Averages: 10-period     50-period      200-period
Close:           3,298.13      3,059.89       2,306.08
Volatility:      32            43             44
Volume:          3,705,157     4,747,937      4,702,104

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

AMAZON COM is currently 47.4% above its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods.

Our volume indicators reflect moderate flows of volume into AMZN.O (mildly bullish). Our trend forecasting oscillators are currently bullish on AMZN.O and have had this outlook for the last 7 periods.

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Amazon (NASDAQ:AMZN) Moves Into The Wearables Market added by HEFFX on August 28, 2020
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HEFFX

HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.

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